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TMI Blog2013 (11) TMI 1210X X X X Extracts X X X X X X X X Extracts X X X X ..... and the process undertaken would cover within the definition - The adjudicating authority relied upon the CBEC circular dated 8.10.1997 and in respect of the definition of manufacture prior to amendment of Section 2(f) as on 1.3.03 - Prima facie, the processes undertaken by the applicant would amount to manufacture within the definition of manufacture under section 2(f) (iii) of the Act - the entire goods was cleared on payment of duty and duly exported - the denial of cenvat credit on the input and input service used in the finished goods cleared on payment of duty, is not justified - the requirement of pre-deposit of entire amount of duty and penalty along with interest waived till the disposal – Stay granted. - E/40619/13 - Misc. Order ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... kes various activities/process of the goods for the purpose of exportation. He drew the attention of the Bench to the relevant portion of the show cause notice where the process details were mentioned. He submits that adjudicating authority observed that packing is for the purpose of safer transport of the goods and therefore it is not eligible for cenvat credit, which is contrary to the decision of Hon ble Bombay High court in the case of L T Ltd. Vs UOI - 2012 (275) ELT 153 (Bom.). He further submits that by inserting clause (iii) in Section 2(f), the definition of manufacture has widened and the process undertaken by the applicant would cover within the definition. He also submits that in the present case, there is no dispute that the ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n his own account] 4.1 The definition of manufacture includes any process in relation to packing or repacking of such goods labelling or relabelling etc. In the present case, we find from the Show Cause Notice that applicant undertook the following activities / process amongst others and exported the goods : (a) Unpacking and removing of labels from the parts sourced from vendors; (b) Applying of anti-rust treatment on the parts (c) Packing and labelling of parts; (d) Repacking of grouped materials/spares by putting together in wooden box or pallet for exports 4.2 The main contention of the adjudicating authority is that the packing is for safer transport of the export goods. The Hon ble Bombay High Court in the case of L T Ltd. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ority relied upon the CBEC circular dt. 8.10.1997 and the Ld. AR also relies upon the decision in respect of the definition of manufacture prior to amendment of Section 2(f) as on 1.3.03. Prima facie, we find that the processes undertaken by the applicant would amount to manufacture within the definition of manufacture under section 2(f) (iii) of the said Act. There is no dispute that the entire goods was cleared on payment of duty and duly exported. Apparently, the denial of cenvat credit on the input and input service used in the finished goods cleared on payment of duty, is not justified. Accordingly, we waive the predeposit of entire amount of duty and penalty along with interest and stay its recovery during pendency of the appeal. Stay ..... X X X X Extracts X X X X X X X X Extracts X X X X
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